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Your guide to the employment landscape, working customs and local labor laws in Switzerland
Capital
Bern
Currency
Swiss Franc (CHF)
Languages
German, French, Italian, Romansh
GDP per Capita
$103,245.72
Employer Tax
8.07% - 23.4%
Payroll Frequency
Monthly
Switzerland holds the name for one of the world’s most advanced and highly-developed free-market economies. The service sector, along with tourism, are the major contributors to the economic growth of the country. Switzerland holds the 18th rank for Nominal GDP.
Major economic hubs:
Zurich, Bern, Geneva, Basel, Grindelwald
Skills in demand:
Local: 1
World : 52
Local: 2
World : 146
Local: 3
World : 165
Local: 4
World : 184
Local: 5
World : 225
3,820,000
Top Local Job Boards:
Top Local Job Boards
Number of LinkedIn users:
Number of LinkedIn users
Top Recruitment Agencies:
The table below mentions the salary data of some job titles with average salaries in Switzerland:
Job Title | Average Monthly Salary (CHF) | Average Monthly Salary (USD) |
Sales Manager | 18,200 CHF | 21,201 USD |
Information Technology Manager | 18,100 CHF | 21,085 USD |
General Manager | 17,900 CHF | 20,852 USD |
Business Development Manager | 17,500 CHF | 20,386 USD |
Business Analyst | 12,700 CHF | 14,794 USD |
Project Manager | 12,900 CHF | 15,027 USD |
Developer | 9,460 CHF | 11,020 USD |
When onboarding an individual from Switzerland, the employer needs to have knowledge of the employment laws, benefits, and deductions. This section will cover much of that.
According to Swiss laws, employment contracts, written or not, are mandatory. The contract must mention all the details about the employer along with terms and conditions. The employment contract in Switzerland must be written in one of the four official languages in the country (German, French, Italian, Romansh).
The probationary period for employees ranges from 1 – 3 months.
Date | Name | Localities |
January 1 | New Year’s Day | All |
January 2 | Berchtold Day | 15 states |
January 6 | Epiphany | GR (partly), SZ, TI, UR |
February 27 | Carnival Thursday | SZ |
March 1 | Neuchâtel Republic Day | NE |
March 19 | Saint Joseph’s Day | LU (partly), NW, SO (partly), SZ, TI, UR, VS |
April 3 | Näfels Procession | GL |
April 18 | Good Friday | All except TI, VS |
April 21 | Easter Monday | All except LU, NE |
May 1 | May Day | BL, BS, JU, SH, ZH |
May 1 | May Day (Half-Day) | SO |
May 29 | Ascension Day | All |
June 9 | Pentecost Monday | All except NE |
June 19 | Corpus Christi | 13 states |
June 23 | Jura Independence Day | JU |
August 1 | Swiss National Day | National Holiday |
August 15 | Assumption of Mary | 12 states |
September 11 | Genevese Fast | GE |
September 22 | Mauritius Day | AI (partly) |
September 22 | Federal Fast Monday | VD, NE |
September 25 | St. Nicholas of Flüe | OW |
November 1 | All Saints’ Day | 15 states |
December 8 | Immaculate Conception | 12 states |
December 24 | Christmas Eve | SZ |
December 25 | Christmas Day | All |
December 26 | St. Stephen’s Day | All except VD, GE, JU |
December 31 | New Year’s Eve | SZ |
December 31 | Restoration of the Republic | GE |
Type of Leave | Time Period | Mandatory |
Annual/Earned Leave | 4 weeks | Yes |
Sick Leave | 3 weeks | Yes |
Maternity Leave | 14 weeks | Yes |
Leave Compliance
Public and Provincial Holidays
Payroll cycle
The payroll cycle is Monthly in Switzerland.
Minimum wage
The minimum wage varies per canton(district) and ranges from 20.00 CHF to 25 CHF.
Read more
Overtime pay
The overtime must be compensated at a premium of 25% and must not exceed 2 hours a day.
Type of Scheme | Contribution |
Old Age Survivors Insurance (OASI) | 4.35% |
Invalidity Insurance (IV) | 0.70% |
Loss of Earnings Compensation (IPG) | 0.25% |
Unemployment Insurance (AD) | 1.1% for the portion of the salary up to CHF 148,200 |
Type of Scheme | Contributions |
Old Age Survivors Insurance (OASI) | 4.35% |
Invalidity Insurance (IV) | 0.70% |
Loss of Earnings Compensation (IPG) | 0.25% |
Unemployment Insurance (AD) | 1.1% for the portion of the salary up to CHF 148,200 |
The minimum income for mandatory contribution is CHF 2,520 per year.
Direct federal tax income rates for single taxpayers are as follows for 2025:
Taxable Income
(Swiss Francs, CHF) |
Tax Rate (%) |
0 to 18,500 | 0 |
18,500 to 33,200 | 0.77 |
33,200 to 43,500 | 0.88 |
43,500 to 58,000 | 2.64 |
58,000 to 76,100 | 2.97 |
76,100 to 82,000 | 5.94 |
82,000 to 108,800 | 6.60 |
108,800 to 141,500 | 8.80 |
141,500 to 184,900 | 11 |
184,900 to 793,300 | 13.2 |
Above 793,300 | 11.5 |
Direct federal tax rates for married taxpayers and taxpayers who are divorced or widowed with minor children are as follows for 2025:
Taxable Income
(CHF) |
Tax Rate (%) |
0 to 33,000 | – |
33,000 to 53,400 | 1 |
53,400 to 61,300 | 2 |
61,300 to 79,100 | 3 |
79,100 to 94,900 | 4 |
94,900 to 108,600 | 5 |
108,600 to 120,500 | 6 |
120,500 to 130,500 | 7 |
130,500 to 138,300 | 8 |
138,300 to 144,200 | 9 |
144,200 to 148,200 | 10 |
148,200 to 150,300 | 11 |
150,300 to 152,300 | 12 |
152,300 to 940,800 | 13 |
Above 940,800 | 11.5 |
Switzerland levies a VAT at 8.1%.
In Switzerland, the 13th month’s pay is not mandatory however the employers may give incentive to their employees that is typically paid at the end of the year.
Swiss employees are entitled to benefits that their employers offer. Some of these are the following:
Switzerland practices the principle of freedom when choosing to terminate an employment contract. This means either party can terminate the contract – either on the grounds of statutory or notice period.
The notice period for termination for probationary employees ranges from 1 – 7 days and 1 – 3 months for regular employees.
There is no statutory provision for severance pay in Switzerland. However, an exception is specified for employees over 50 years old who have worked for the same company for 20 years. According to the Code of Obligations, they are entitled to 2 months worth of salary as severance pay.
There are two ways in which foreign workers may be allowed to work in Switzerland:
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Overtime Pay
Minimum Wage
The following cantons and cities in Switzerland have set minimum wages:
Overtime Pay
Visa and Immigration
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By team
By company size